This one has hit home HARD!credit Sky News
The maker of 'Pink Panther' wafers sold in British supermarkets will be the latest food producer to blame a Brexit crunch when it announces on Thursday that it has fallen into administration.
Sky News understands that the owner of Rivington Biscuits, which is based in Wigan, Lancashire, will blame the post-EU referendum slump in the value of sterling for drivng up input costs in recent months.
Almost 100 of the 125-strong workforce are understood to have been made redundant on Wednesday, less than a fortnight before Christmas.
FRP Advisory, which is handling the liquidation of BHS, the high street chain previously owned by Sir Philip Green, has been appointed as Rivington's administrator, according to sources close to owner van Delft.
The dire news for Rivington's workforce - which will see only 20% retained to service ongoing supply contracts - will underline the lack of pricing power among smaller suppliers unable to pass on sharp increases in raw material costs.
Unilever, the consumer goods giant whose brands include Marmite, sparked fury when it emerged last month that it was demanding substantial price hikes from major supermarket chains.
Since then, the maker of Toblerone has reformulated the brand to reduce the amount of chocolate contained in each bar, while other major food manufacturers including Iglo Birds Eye and Pepsico have also blamed the fall in sterling for cost increases.
Van Delft is understood to have invested about £7m in Rivington's production capabilities since buying the company in 2009.
FRP declined to comment.